Kazakhstan to Establish Bitcoin Reserve Worth Up to $1 Billion

Kazakhstan to create a state cryptocurrency reserve worth up to $1 billion.

Kazakhstan is set to establish a state cryptocurrency reserve valued between $500 million and $1 billion, according to Timur Suleimenov, head of the country’s National Bank, as reported by Bloomberg Law.

The fund will be launched in 2026 and will operate through the AIFC, the nation’s primary hub for blockchain technology development. It will be primarily composed of digital assets seized in criminal cases related to illegal mining and trading.

Suleimenov first announced the formation of the crypto reserve using confiscated bitcoins in June. In September, President Kassym-Jomart Tokayev instructed to expedite the implementation of this initiative.

Unlike direct investments in cryptocurrencies, the new structure will invest in exchange-traded products and shares of companies associated with digital assets.

The fund will be managed by a state investment platform, with the possibility of involving foreign partners after its launch.

The reserve will be part of Kazakhstan’s strategy to institutionalize the crypto industry.

In May, the National Bank developed legislative amendments that establish the legal status of crypto exchange platforms and introduce licensing for their activities. In June, the regulator approved the issuance of payment cryptocurrency cards linked to wallets on AIFC-licensed exchanges.

In September, the Astana Financial Services Authority permitted the payment of regulatory fees in stablecoins. That same month, the National Bank announced the launch of a pilot project for a “stablecoin” pegged to the national currency, the tenge.

Earlier in October, Binance founder Changpeng Zhao met with the President of Kazakhstan and announced the KZTx token.